With additional units commissioned in Mundra and Maithon power plants, Tata Power posted a profit of Rs 181 crore for the quarter ended March 31.
Last year, the company posted a loss of Rs 628.75 crore in the same quarter due to deferred stripping charge (for coal) of Rs 325 crore and impairment provisioning of Rs 815 crore for its 4000 MW Mundra project.
The Tata Power Board has recommended a dividend of Rs 1.15 on each equity share of Re 1 each.
For FY13, Tata Power managed to bring down losses due to better operating performance and lesser provisioning of Rs 850 crore for the Mundra project. Last year, the impairment provided for was Rs 1,800 crore.
The Mundra project has been posting losses as Indonesia has mandated that all its coal exports need to be in line with international prices. The company had earlier contracted coal from there on a long-term basis at far lower prices, a deal which the Indonesian Government order nullified.
The 4000 MW Mundra project’s revenue for FY13 was Rs 2,796 crore and loss Rs 1,602 crore.
Tata Power is awaiting the compensatory tariff that the Central Electricity Regulatory Commission had directed to make good the loss on account of higher fuel cost.
For FY13, consolidated revenues were up by 27 per cent at Rs 33,025 crore mainly due to additional revenue generated from Mundra and Maithon projects, higher revenue of Delhi distribution due to increase in power purchase cost and higher volume traded by Tata Power Trading.
Anil Sardana, Managing Director, Tata Power said, “ In FY13, Tata Power’s generation capacity has now touched 8521 MW with 1.8 million customers, reinforcing our position as India’s largest integrated power player and private power producer.”
shanker.s@thehindu.co.in